Title Insurance Producers and Independent Contractors

​​A TIP is a person (individual or company), including an attorney, who solicits, procures, or negotiates title insurance contracts for compensation or who provides escrow, closing, or settlement services that may result in the issuance of a title insurance contract.

A TIPIC is an independent contractor, including an attorney, who provides on behalf of a TIP escrow, closing, or settlement services that may result in the issuance of a title insurance contract. A TIPIC must be a commissioned notary in order to witness documents.​

Yes. Both must be licensed by the Maryland Insurance Commissioner to conduct business in the Maryland. It is the title insurer’s responsibility to see that all appointed TIPs and TIPICs are appropriately licensed.​

Yes. The TIP must be appointed by a title insurer in order to sell, solicit, or negotiate title insurance on behalf of the title insurer. It is the title insurer’s responsibility to see that all appointed TIPs are appropriately licensed.​

Yes. The TIPIC must be appointed by the title insurer. The TIP may not use or accept the services of a TIPIC unless the TIPIC holds an appointment with the title insurer with which the contract of title insurance may be placed.​

In addition, a sole proprietor, LLC, partnership or corporation that is a TIP, other than self-employed attorneys and law firms licensed to practice law in the State of Maryland, must file a blanket surety bond or letter of credit in the amount of $150,000.

It is a violation of Maryland law for a title insurer to knowingly use an unlicensed TIP. Because it is the title insurer’s responsibility to use only licensed TIPs, the MIA will hold the title insurer responsible for knowingly conducting business through an unlicensed TIP.​

It is a violation of Maryland law for a TIP to use a TIPIC unless the TIP’s bonds cover the TIPIC or the TIPIC maintains a separate bond. It is the responsibility of the TIP to be sure the TIP’s bond covers the TIPIC or the TIPIC has its own bond. If the TIP’s bond does not cover the TIPIC and the TIPIC does not have its own bond, the MIA will hold the TIP and the TIPIC responsible for this violation of Maryland law.​

It is the responsibility of the TIP and the TIPIC. It is the TIP’s responsibility to notify any title insurer with whom the TIP holds an appointment of the name and license number of each TIPIC used by the TIP. If the title insurer has been advised that the TIP is using the services of the TIPIC, it is the responsibility of the title insurer to either appoint the TIPIC as its producer or notify the TIP and TIPIC that it will not authorize the TIPIC to act as its appointed producer.​

The name, address and license number of the TIP and, if applicable, the TIPIC must be recorded with the mortgage or deed or trust. It is the responsibility of the TIP to ensure this information is recorded.​